Amster Labs IPO Details
RHP/DRHPIssue Date
--
Investment/lot
--
Price Range
--
Lot Size
--
IPO Size
--
Schedule of Amster Labs IPO
Start date
End date
Allotment of bids
Refund Initiation
Listing on exchange
About Amster Labs IPO
The IPO of Amster Labs Ltd comprises a fresh issue of up to 53,08,800 equity shares of face value of ₹10 each. There’s no offer for sale in this IPO, which is a 100% book-built issue. The IPO price band is TBA. The lot size is TBA.
The IPO opening date is TBA. The IPO closing date is TBA. The listing of shares will take place on TBA. The allotment of shares will take place on TBA. The credit of shares to the demat account will take place on TBA. The initiation of refunds will take place on TBA.
Amster Labs Ltd is engaged in the business of manufacturing and distribution of pharmaceutical products. It manufactures products for certain third parties who market them under their own brands for already approved products. The company offers a diverse range of pharmaceutical products, including ethical drugs, generic medications, and over-the-counter (OTC) solutions.
Objectives of Amster Labs IPO
- To set up a new manufacturing unit and unification of existing divisions
- To meet the working capital requirements of the company
- To meet out the general corporate purposes
- To meet out the issue expenses
Amster Labs IPO Valuation
Amster Labs IPO Share Offer and Subscription Details
| Investor | Shares Offered |
|---|---|
QIBs | Not more than 50% of the net issue |
Non-institutional Applicants | Not less than 15% of the net issue |
Retail Individual Investors | Not less than 35% of the net issue |
Industry Outlook
Market size of the Indian pharmaceuticals industry is expected to reach ~US$ 130 billion by 2030 and US$ 450 billion market by 2047. According to the government data, the Indian pharmaceutical industry is worth approximately US$ 50 billion with over US$ 25 billion of the value coming from exports. About 20% of the global exports in generic drugs are met by India.
The Indian pharmaceutical industry has seen a massive expansion over the last few years and is expected to reach about 13% of the size of the global pharma market while enhancing its quality, affordability and innovation.
Company Information
Amster Labs Ltd is engaged in the business of manufacturing and distribution of pharmaceutical products. It manufactures products for certain third parties who market them under their own brands for already approved products. The company offers a diverse range of pharmaceutical products, including ethical drugs, generic medications, and over-the-counter (OTC) solutions.
Strengths of Amster Labs IPO
Experienced promoters and senior management with extensive domain knowledge
Quality assurance and control
Market potential
Investment in the latest technology and maintaining its edge in the market
Strong sales, marketing and distribution capabilities
Large and rapidly growing R&D capabilities across its product portfolio
Strategic presence across the pharmaceutical value chain
Risks of Amster Labs IPO
-
Dependent on Few Customers : Significant portion of its revenues depends upon the order from its key customers and the loss of any of its customers which it caters to may adversely affect its sales and consequently on its business and results of operations.
-
Risks in Manufacturing Process : The company’s business is dependent and will continue to depend on its manufacturing facilities, and is subject to certain risks in its manufacturing process such as the breakdown or failure of equipment, industrial accidents, severe weather conditions and natural disasters.
-
Dependence on Limited Number of Suppliers : The company relies on limited suppliers for raw materials with whom it generally does not enter into any long-term supply contract or agreements. The order for the materials is placed on a requirement basis. If there are any delays or disruptions in the supply of these materials from its suppliers, its ability to deliver the products may be affected.
Amster Labs IPO Financials
Peer Comparison
| Company Name | Profit After Tax (in ₹ crores) | EPS in ₹ | Return on Net Worth (in %) | NAV Per Share (in ₹) |
|---|---|---|---|---|
Amster Labs Ltd | 0.09 | 14.96 | 55.67 | 22.29 |
Quest Laboratories Ltd | 0.10 | 9.11 | 35.23 | 23.99 |
Beta Drugs Ltd | 0.21 | 22.82 | 18.90 | 120.67 |
Alpha Laboratories Ltd | 0.16 | 8.01 | 11.04 | 72.20 |
Zenith Drugs Ltd | 0.09 | 5.56 | 15.32 | 36.28 |
Anchor Investor Bidding Date
TBA
IPO Registrar and Book Running Lead Manager of Amster Labs IPO
- IPO Registrar: Skyline Financial Services Pvt Ltd
- Book Running Lead Manager: Fast Track Finsec Pvt Ltd
Business Model of Amster Labs IPO
The company offers a diverse range of pharmaceutical products, including ethical drugs, generic medications, and over-the-counter (OTC) solutions. Its extensive portfolio features Softgel Capsules, Herbal Soft Gelatin Capsules, Carotenoids Soft Gelatin Capsules, Calcitriol Soft Gelatin Capsules, Oil Soft Gel Capsules, and more.
Additionally, the company specialises in pharmaceutical formulations such as General & Beta Lactam Tablets, oral syrups, ointments and dry & powder injections. These formulations support a variety of medical treatments, including anti-diabetic therapies, analgesics, antibiotics, calcium supplements, and vitamin supplements.
Company Growth Trajectory of Amster Labs IPO
The revenue from operations of Amster Labs Ltd grew from ₹96.4939 crores in FY 22 to ₹117.9458 crores in FY 24. Its EBITDA margin grew from 4.95% in FY 22 to 14.61% in FY 24, while PAT margin grew from 1.27% in FY 22 to 7.81% in FY 24. Quality assurance and control, market potential and strong sales, marketing and distribution capabilities have contributed to the company's growth over the years.
Market Position of Amster Labs IPO
Amster Labs Ltd has two manufacturing units situated in Baddi, Distt. Solan, Himachal Pradesh. The total area occupied by its manufacturing facilities expands to more than 75,000 Sq. ft. Its registered office is located at Chandigarh, India. The company holds ISO certification 9001:2015 and ISO 10002:2018 to ensure quality of manufacturing products.
Amster Labs IPO Profit and Loss
| Parameter | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Total Income (in ₹ crores) | 35.50 | 105.28 | 96.97 |
Profit Before Tax (in ₹ crores) | 7.21 | 3.77 | 1.90 |
Profit After Tax (in ₹ crores) | 5.79 | 2.43 | 1.22 |
EBITDA (in ₹ crores) | 17.23 | 7.66 | 4.77 |
EPS in ₹ | 9.42 | 7.11 | 3.59 |
Amster Labs Cash Flow Statement
| Parameter | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Profit Before Tax (in ₹ crores) | 7.21 | 3.77 | 1.90 |
Net Cash Flow from Operations (in ₹ crores) | 4.07 | 1.46 | -2.10 |
Net Cash Used in Investing Activities (in ₹ crores) | -3.89 | -2.60 | -3.09 |
Net Cash Flow from/ (used in) Financing Activities (in ₹ crores) | 1.45 | 1.53 | 5.45 |
Cash & Cash Equivalents as At End of the Year (in ₹ crores) | 2.04 | 0.89 | 0.49 |
How to Apply for the Amster Labs IPO?
Visit the Registrar’s Website
- Visit the official website of Skyline Financial Services Pvt Ltd
- Click on ‘Public Issue’ from ‘Investors’ dropdown
- Choose ‘Company Name’
- Enter DPID/Client ID or Application Number or PAN Number
- Click on ‘Search’ to know the status
Check on the National Stock Exchange Website
The National Stock Exchange (NSE) has an IPO Bid Verification module. You can use it to check the status of Amster Labs Ltd. Go to www.nseindia.com and find the 'Invest' tab. Click on 'Verify IPO Bids' under 'Resources & Tools'. On the NSE IPO Bid Verification page, enter:
- Company name from dropdown
- Application number
- PAN Then click 'Submit' to know the allotment status
How to Apply for the Amster Labs IPO?
- Step 1: Log in to your Kotak Securities Demat account: Log in to your Demat account to access IPO investments. Next, select the current IPO section.
- Step 2: Specify IPO details: Enter the number of lots and the price you wish to apply for.
- Step 3: Enter UPI ID After entering your UPI ID, click submit. This will place your bid with the exchange.
- Step 4: Mandate Notification: Your UPI app will receive a mandate notification to block funds.
- Step 5: Approve Request Your funds will be blocked once you approve the mandate request on your UPI.
This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. Please read the SEBI-prescribed Combined Risk Disclosure Document before investing. Brokerage will not exceed SEBI’s prescribed limit.
Amster Labs IPO FAQs
Where can I read more about Amster Labs business?
You can read more about Amster Labs and its IPO from the company’s red herring prospectus (RHP) here.
What is the Amster Labs IPO?
The Amster Labs Ltd IPO comprises a fresh issue of up to 53,08,800 equity shares of face value of ₹ 10 each.
When will the IPO of Amster Labs Ltd go live?
The exact dates of the IPO are not known.
